The Renters' Rights Act 2025 substantially expanded the civil penalty regime for private landlords in England. From 1 May 2026, local authorities can issue civil penalties of up to £40,000 per offence, raised from the previous £30,000 cap. The list of triggering offences has grown to include new RRA-specific breaches: serving an invalid Section 21 notice, soliciting above-asking rent bids, and breaching mandatory-ground re-let restrictions.
A civil penalty is not a criminal conviction. You will not be prosecuted, will not get a criminal record, and will not face imprisonment. However, civil penalties can be published on a publicly accessible landlord register, and amounts up to £40,000 per offence make financial exposure severe.
Which offences attract a civil penalty?
- Serving a Section 21 notice after 1 May 2026: Section 21 is abolished; any purported notice is unlawful and triggers a civil penalty
- Soliciting or accepting above-asking rent bids: Rental bidding wars are banned under the RRA 2025
- Breaching a re-let restriction (Ground 1A, 6A, or 6): Re-letting within the restricted period after using a mandatory possession ground
- Failure to provide a written statement of terms: Prescribed written terms must be issued to every tenant from 1 May 2026
- Unlawful eviction or harassment: Civil penalties alongside criminal offences under the Protection from Eviction Act 1977
- Right-to-rent failures: Letting to a person without the right to rent in the UK
- HMO licensing breaches: Operating an unlicensed HMO or breaching licence conditions
- Failure to join the PRS Ombudsman or register on the Landlord Database: Database registration rolls out regionally from 15 December 2026; the Ombudsman's commencement date has not yet been announced
How much are civil penalties under the RRA 2025?
| Offence category | Maximum penalty |
|---|---|
| RRA 2025 breaches (bidding, re-let restriction, invalid S21) | £40,000 per offence |
| HMO management regulation breaches (Housing Act 2004) | £40,000 per breach |
| Right-to-rent breach, first offence (per adult tenant) | £10,000 |
| Right-to-rent breach, repeat offence (per adult tenant) | £20,000 |
| Repeat offences within 5 years | Maximum penalty (aggravated) |
The civil penalty process step by step
- Local authority investigates; may inspect property, request documents, interview the landlord.
- Notice of intent served, explains proposed penalty amount and the grounds for the penalty.
- 28-day representations period, you must respond in writing to challenge the penalty at this stage.
- Final civil penalty notice issued, specifies the amount and payment deadline (usually 28 days).
- Appeal window, 28 days to appeal to the First-tier Tribunal (Property Chamber). Appeal suspends payment obligation.
- Payment or Tribunal decision; if the penalty is confirmed, pay within the deadline or face interest and enforcement.
- Publication, confirmed penalties may be published on the publicly accessible civil penalty register.
Appealing a civil penalty: what the Tribunal considers
The First-tier Tribunal (Property Chamber) can quash, confirm, or vary (up or down) a civil penalty. Grounds for appeal include:
- The offence was not committed (factual challenge)
- The landlord had a reasonable excuse for the breach
- The penalty amount is disproportionate given the circumstances
- The local authority failed to follow the statutory process (e.g., did not serve a notice of intent)
- Relevant mitigating factors were not considered
Unlike many appeal routes, the First-tier Tribunal is not limited to reducing a civil penalty. It can increase the amount if it finds the local authority was too lenient. Take specialist housing law advice before appealing a penalty at or near the statutory maximum.
Proactive compliance: how to avoid a civil penalty
- Run a compliance checklist for every new tenancy: right-to-rent check, deposit protection (within 30 days), EICR, gas safety certificate, EPC (minimum E), How-to-Rent guide, written statement of terms, all served before or on move-in day
- Never serve a Section 21 notice on any tenancy after 1 May 2026, it is invalid and a civil penalty trigger
- Advertise at a fixed asking rent and do not solicit or accept above-asking offers
- When using mandatory Section 8 grounds (1A, 6A), set calendar reminders for re-let restriction expiry and do not re-market before that date
- Keep timestamped records of every compliance step, most civil penalty defences turn on documentary evidence
- Join the PRS Ombudsman scheme as soon as it is mandatory and register on the Landlord Database when it launches
- Review your HMO licensing position annually, check whether your council has introduced or extended licensing schemes
Our England Compliance & Tenancy Pack (LS-E-100) includes the compliant periodic tenancy agreement, prescribed written statement of terms, right-to-rent check record, deposit protection checklist, and all prescribed documents, everything you need to stay on the right side of the civil penalty regime.